Amidst all the disruption it has caused, COVID-19 has provided Indian textile industry with an opportunity to rid itself off its dependency on offline operations involving the wholesaler, semi wholesaler, retailers, middle persons etc. As per YourStory, the online textile industry has witnessed a massive surge in the past one year with many retailers’ revenues inching towards the $1 billion mark. In future too, this trend of increased sales in the online textile industry is likely to persist, giving rise to many online retailer unicorns.
Textile e-tailers to benefit from government schemes
Post-COVID-19, domestic consumption in the Indian textile industry is likely to increase with the government introducing many new policies to facilitate growth. In Budget 2021-22, it introduced a scheme to set up mega textile parks in the country to attract large investments and boost employment generation.
The scheme, called MITRA, entails the government setting up seven mega textile parks over the next three years. Equipped with all integrated facilities, these parks will help minimize transportation losses through quick turnaround time. Online textile retailers will emerge as the biggest beneficiaries of these developments.
Rise of new technology trends
Technology plays an important role in the Indian textile industry by facilitating all its right from sourcing raw materials to giving final shape to the products. In future, the industry is expected to witness the rise of new technology trends such as an increased demand for natural fibers, shifting focus towards non-woven fabrics, etc.
Need for more policies
Endowed with an immense potential to contribute to India’s economic development, textile industry needs more support from the government in terms of new policies and a crackdown on red tape. Additionally, the government needs to introduce more export promotion policies for the sector. It needs to launch new initiatives to take the sector on a growth path.